Firms urged to give careful consideration to cost cutting measures

The leader of the UK bosses organisation the Institute of Directors is urging Island firms to think carefully where to make savings in the current economic squeeze.

Director General of the Institute of Directors Simon Walker has visited the Isle of Man to celebrate the 25th anniversary of the local branch.

He says many local firms have had to make tough decisions to stay afloat - and cutting staff can seem the quickest way to reduce budgets.

But Mr Walker says for a company's long-term good, other factors need to be considered: